Chinese firm to build Nevada wind turbine factory

March 11, 2010

A-Power has been attracted to Nevada partly through the efforts of Senate Majority Leader Harry Reid

A major wind turbine production and assembly facility is to be built in Nevada to supply wind projects throughout North and South America, it was announced today.

Private equity group US Renewable Energy Group (US-REG) is backing the venture by Chinese firm A-Power Energy Generation Systems, while local real estate firm American Nevada Company is in the frame to identify a suitable site and to develop the facility.

The plan is to develop a state-of-the-art 320,000 square foot plant capable of producing 1,100 megawatts of wind turbines each year – enough to power 330,000 homes.

The project would see the recruitment of 1,000 Nevada workers, the companies announced today in Washington.

Once a site is located, A-Power will finance the costs of the site, construction and operation of the assembly facility from its own funds. The company is aiming to expand its presence in the American renewable energy sector, it said.

Jinxiang Lu, CEO and Chairman of A-Power, said: “Nevada’s position relative to the major wind corridors, and the strength and sophistication of Nevada’s skilled workforce made Nevada the best option for our headquarters and assembly plant for North and South America.”

A-Power

A-Power is part of the Shenyang Power Group, and entered the wind market in 2008 building China’s largest turbine manufacturing facility at Shenyang in Liaoning Province, which has a 1,125MW production capacity.

The company has been building a 2.7-megawatt wind turbine, using technology licensed from German company Fuhrlander AG, as well as a 750-kilowatt machine, which can be expanded to a 1.5MW output, using technology licensed from Danish firm Norwin A/S.

A-Power has also already been working with US firm GE Drivetrain Technologies to produce wind turbine gearboxes.

The A-Power project has been partly attracted to Nevada by the efforts of US Senate Majority Leader Harry Reid (D-NV).

“The clean energy industry is the future of Nevada. It can create much-needed jobs in the short-term and will help diversify our state’s economy in the long-term,” Sen. Reid said today. “This state-of-the-art facility will create more than 1,000 good-paying jobs for Nevadans who will build wind turbines for projects in North and South America.”

The clean energy industry is the future of Nevada.” - Sen. Harry Reid

Ed Cunningham, US-REG Managing Partner, said: “With a strong commitment to renewable energy and business-friendly climate, we felt that Nevada would be the ideal place to invest in this manufacturing hub. This multi-million dollar investment in Nevada will further advance the Senate Majority Leader’s clean energy initiatives while allowing out of work Nevadans to re-enter the work force in high-paying, stable, green jobs.”

A-Power is already working with US-REG and Austin, Texas, wind developer Cielo Wind Power on the development of a 600MW wind farm in Texas. The $1.5 billion project will see a minimum of 70% of each turbine manufactured in the United States, the company has said.

Most of the components for A-Power’s Nevada manufacturing plant will be made by domestic US manufacturers, according to today’s announcement.